topic Are you self-employed? This matters, because W-2 work rel... in Deductions & credits

Home Office not working.

dresslerck — Tue, 04 Jun 2019 21:29:51 GMT

The home office deduction keeps looping me back with errors. I entered the sq. ft. as 198 and then the lesser of that or 300 (also 198). It will not accept this value. Maybe the issue is that I moved during 2018 and have two home offices?

Are you self-employed? This matters, because W-2 work rel...

Carl — Tue, 04 Jun 2019 21:29:52 GMT

Are you self-employed? This matters, because W-2 work related expenses including a home office, are no longer deductible starting in 2018.

My wide is self-employed and works from home 40% of the t...

dresslerck — Tue, 04 Jun 2019 21:29:55 GMT

My wide is self-employed and works from home 40% of the time.

More than likely you have overlapping dates. First, close...

Carl — Tue, 04 Jun 2019 21:29:56 GMT

More than likely you have overlapping dates.
First, close the old home office. The close date must be "at least" one day before:
- You closed on the sale of the old house
- The date you moved out of the old house.
The open date on the new home office must be:
- A date after you closed the old home office.
- At least one day after you closed on the sale of the new home.
- At least one day after you moved into the new home.

Also make sure you have the correct address for each home office, and that you're not using the "new" address, for the "old" home office that was closed.

Close Home office, Open New One Under Business Expense...

Carl — Tue, 04 Jun 2019 21:29:57 GMT

Close Home office, Open New One

Under Business Expenses, start/update Home Office Expense.
Select YES, then continue
Select both requirements, then continue
Select NO, continue
Select at least one of the options, continue
Your home office qualifies. Continue
Select YES, continue. (It may say “all 12 months, but YES anyway)
I’m assuming 100%, then continue
You’re on Home Office Summary screen. Elect to EDIT it.
Verify the address (shud be old home office), continue
Select NO, continue
Select YES, you used it, and NO, you didn’t share it. Continue.
Select I Own it, continue
Select YES, continue
Confirm square footage, continue.
Select Actual Expenses, continue
Confirm Mortgage Interest Applies, then click DONE
Click Continue
Select NO, all expenses apply to entire home, continue. (If you have HO only expenses, select NO)
Enter PMI if paid, leave blank if not, and continue.
Select NO, continue
Enter RE taxes, continue
Utility expenses. You have box for both entire home and HO only. Enter as needed, Continue
Repair expenses. Enter as needed for whole home and HO only, continue.
Enter property insurance, continue
Enter other expenses, continue
Select NO for casualty/theft
See your summary, then continue
Home office asset summary. Only the old HO listed here. Edit it.
Select Your Home, continue
Review information, continue
Did you stop using this asset in 2015? YES YES YES YES YES!
Enter date of disposition. Must be on or before the day you moved out. Then continue
Percentage of Biz Use screen, continue
Fed Depr Dedcution screen, just continue
Disposition of HO, click NO. You are indicating it was NOT a separate structure.
Did you sell? Click YES.
Indicate ownership, enter address, continue
Sales information. Enter it, and just continue working things through until you are returned to the “Your Home Office Asset Summary” screen.
Now click the Add An Asset button and start working this through to set up the new home office.